This study investigates the impact of job preferences on self-perceived employability (SPE) among university graduates in Bandung, Indonesia. Unemployment in Indonesia, particularly among fresh graduates, has highlighted structural issues in the labor market, including skill mismatches and insufficient job creation. Job preferences, including factors such as salary, work-life balance, and career development, are crucial in determining an individual’s ability to secure desirable employment. This research, based on a sample of 280 graduates from various universities, reveals that well-defined and realistic job preferences positively influence SPE. The analysis shows a significant and strong relationship between job preferences and employability, with a high path coefficient (0.986) and a T-statistics value far exceeding the significance threshold. The results highlight the importance of aligning personal career goals with market demands, enhancing individuals’ self-confidence in their employability. Educational institutions also play a key role in shaping job preferences and employability by providing skills that match labor market needs. The study underscores the need for better integration between education and industry to improve graduates’ market readiness. Universities in Bandung should integrate skill training aligned with labor market demands, career guidance, industry trend seminars, and job search strategies to ensure graduates possess relevant preferences and skills for the workforce. This study employed the Structural Equation Modeling-Partial Least Squares (SEM-PLS) method to analyze the factors influencing graduate employability preferences. As a recommendation, higher education institutions and policymakers should emphasize industry collaboration and adopt policies that enhance graduates’ readiness for the evolving job market.